How do consumers choose sellers in e-marketplaces? The role of display price and sellers' review volume

In e-marketplaces, consumers often have to choose a seller from which to purchase a product. The author argues that seller choice depends on both evaluations of the display price of the product, related to anchoring, and sellers’ review volume, related to assimilation-contrast.
Jaikumar

MANAGEMENT SLANT

  • In an e-marketplace where multiple sellers offer the same product, seller choice is a function of display price and sellers’ review volume.
  • Consumers use the display price as an anchor and then compare sellers on the basis of their review volume.

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